Gold broke records on December 22, 2025, hitting $4,400 per ounce for the first time ever after a 68% surge in 2025. Factors like Federal Reserve rate cuts, a weakening U.S. dollar, and geopolitical tensions are driving this rally, making gold a safe haven asset with strong demand from central banks.

The World Gold Council predicts 2026 gold prices to reflect economic conditions, with scenarios including moderate price increases, sharp outperformance during downturns, or pressure from higher interest rates. Even in bearish scenarios, gold remains a crucial portfolio stabilizer, according to the Council.

Goldman Sachs forecasts gold to reach $4,900 per ounce by December 2026, citing easing monetary policy and uncertainty as supportive factors. JP Morgan is even more bullish, predicting $5,000 per ounce by Q4 2026 and $6,000 in the longer term. Gold is seen as a hedge against currency debasement and market stress.

Despite reaching high levels, gold is supported by various factors like lower interest rates, a weaker dollar, geopolitical uncertainty, and strong investor and central bank demand. Financial institutions see a positive outlook for gold in navigating a fragmented and uncertain global economy, with potential for further price increases.

Read more at Yahoo Finance: What to Expect After Gold’s Surge Above $4,400